During the day I would have $20,000 in equity and $10,000 in said stock. By end of day I would be back to $30,000 plus any gain/loss I incurred on trade.
I'm trying to understand the intent of the rule, as I would like to start a day trading account with $25,000 to $30,000 in it.
You can buy $30000 in stock or $60000 in stock on margin ($120000 if cleared in advance by the brokerage house management and reduced to $60000 by the end of the day) None of these actions change your equity. The only way that your equity goes down to $25000 is if you withdraw or lose $5000.
I don't want to sound harsh, but this is for your own good. Daytrading is for experienced traders. If you don't even understand the basic vocabulary of trading, daytrading is an expensive way to learn.
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